Games and girls bring the green in Hasbro’s first quarter

With competing toymaker Mattel off to a solid start in 2013, Rhode Island-based Hasbro saw its revenues rise 2% in its first quarter to US$663.7 million from US648.9 million a year ago. While sales among boy-targeting products dropped 20%, girls toys and a revamped games category were up 23% and 26%, respectively.

With competing toymaker Mattel off to a solid start in 2013, Rhode Island-based Hasbro saw its revenues rise 2% in its first quarter to US$663.7 million from US648.9 million a year ago. While sales among boy-targeting products dropped 20%, girls toys and a revamped games category were up 23% and 26%, respectively.

The company’s losses widened to US$6.7 million in Q1 2013 from US$2.6 million for the same period last year. Earnings for the quarter increased 30% to US$6.6 million, which excludes pre-tax charges of US$28.9 million associated with a previously announced cost-savings initiative expected to save the company US$100 annually by 2015.

Sales for Hasbro’s US and Canada segment increased 4% to US$342.1 million, compared to US$329.0 million in 2012. Meanwhile, International segment sales remained essentially flat at US$289.8 million, compared to US$289.7 million last year. Revenues in the International division reflect growth in Latin America and Asia Pacific.

Sales in the Boys category decreased 20% to US$242.8 million, while Marvel, Nerf and G.I. Joe brands still sustained product revenue growth in the quarter. Alternatively, the Girls category continued its year-end growth trend, increasing 23% in the quarter due to gains among Furby, My Little Pony and One Direction products.

The Games category is also staying strong, posting 26% revenue growth in the first quarter. Propelling sales were games and products based on Angry Birds Star Wars, Magic: The Gathering and Transformers.

The Preschool category also grew in the first quarter, increasing 8% to US$75.2 million. Play-Doh and Playskool Heroes brands led the charge in that segment.

Over in Entertainment and Licensing, segment sales increased 5% to US$30.8 million over US$29.3 million in 2012, driven primarily by television programming sales.

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About The Author

Wendy is Kidscreen’s Associate Editor. When she’s not sourcing material for the brand's daily email newsletter, she’s researching, writing and connecting with others about the newest trends in digital media. Contact Wendy at wgoldman@brunico.com.